IDA support for Lisbon Treaty welcomed

THE DECISION by the Industrial Development Authority (IDA) to support a "Yes" vote in the referendum on the Lisbon Treaty was yesterday welcomed by the Irish Alliance for Europe (IAE).

The decision makes it the first State agency to publicly back the treaty. However, IAE chairman Ruairí Quinn called on the agency to confirm that the treaty would not allow the EU to set policies on Foreign Direct Investment (FDI) for Ireland.

Mr Quinn added: "This is another boost for the 'Yes' campaign. We hope that the decision by the IDA is a further sign that all sections of politics and civic society will be urging the people of Ireland to make the right decision on the day of the referendum."

His call for clarification on foreign investment was a response to statements issued by the anti-treaty group Libertas.

The Labour TD claimed that Libertas inferred that the adoption of the treaty would mean that Ireland's tax breaks and other incentives for FDI would come to an end.

Naoise Nunn, of Libertas, responded last night by saying that the IAE should learn to read.

"The guide to the Lisbon Treaty published by the Forum on Europe expressly states that policy relating to Foreign Direct Investment becomes what is known as 'an exclusive competency' of the European Union after the ratification of the treaty," Mr Nunn said.

The EU could force Ireland to behave like a "rich" economy in terms of regulatory and other breaks for FDI, he added.

© 2008 The Irish Times

This article appears in the print edition of the Irish Times